Originally Posted by Dranoel
When I run the ORP
retirement planner, it provides a schedule for conversion of traditional IRAs to Roth IRAs with the intent to maximize after-tax income over the period of the plan. Are any of you following this advice? Thanks in advance for your thoughts
I am early retired(several years) and 58, and ran ORP starting last Feb.
I studied what it said to do for Roth conversions.
I had planned to do somewhere around 60-65 k for a few years to convert as much as I could.I had converted 64k in 2009.
It planned out converting 22-23 a year until 65.
I decided to convert 33 this year and 34 next year, partly because it worked out well on one IRA to do half each year, and partly because I feel taxes will go up soon and I don't know how much.
After next year, I will see how things go and may go with the 22-23 they recommend , if it makes sense for me at the time.
I feel ORP saved me , somewhat , from myself , of getting in too big a hurry to convert, too much, too soon.It no doubt saved me some money.
Only time will tell what was the right thing to do.